UBD.No. RO.1 /13.05.00/2002-03

July 5 2002

Asadha 1924(S)

All Regional Offices

Dear Sir,

Maximum limit on advances -Advances to Directors and their relatives

Please refer to paragraph 1(iii) of our directive UBD.No.DS(PCB)Dir.5/13.05.00/93-94 dated 26 May 1994. The matter regarding advances to directors and their relatives was recently reviewed in Central Office and it has been decided that Regional Offices should closely monitor the position of advances granted by urban co-operative banks to their directors and relatives by obtaining the relevant return regularly and through proper scrutiny thereof apart from findings of the inspection and initiate appropriate action for violations promptly.

Please acknowledge receipt.

Yours faithfully,

(Sudarshan Sen)
General Manager